Have you ever wondered how much of a monthly profit owners of mall kiosk stores make? Well, thanks to the rotten economy, not very much. For kiosks located in high traffic zones in well populated malls rent can reach as high as twenty thousand per month. In some parts of the U.S. this number may seem exaggerated, but in Los Angeles, New York, Boston and Miami that number is about average. Typically, the owners of these small retail stores make just enough to pay their rent and cover their living expenses. That defeats the purpose of being a business owner. The best parts of being a business owner are answering to yourself and having the money to enjoy life’s extras.
Our suggestion to these struggling owners is: instead of struggling and hanging your hopes on each new day for a giant profit, take out an unsecured business loan and reopen your store in a space with four walls and a roof in a less expensive location. An enclosed store will bring in more costumers because most people prefer to shop in stores and not browse carts. Retail stores not located in shopping centers (that are managed correctly) have the potential of bringing in as much profit as those located inside the walls of shopping meccas. With an increase in cash flow owners can create an environment where they can provide costumers with a wide array of merchandise, while eliminating the reality that a third of each months profits will go to rent alone.